Danish gambling regulator announces changes to new electronic ID system

Danish gaming licensees will need to switch to the updated electronic ID system from July 1.

Denmark.- The national gambling regulator Spillemyndigheden has briefed online casino and sports betting operators on the launch of Denmark’s new national electronic ID system. Denmark is introducing MitID, an updated electronic ID to replace the existing NemID.

NemID has been used in Denmark for 12 years to verify identity when logging into online banking and other digital services such as gaming, as well as for communication with public authorities. The new MitID is an updated version developed through a public and private partnership.

The new system will be introduced on July 1. For a short time, gaming operators will be able to use both MitID and NemID for customer identification but NemID will then be phased out.

Spillemyndigheden has told gambling operators to prepare for changes back in 2020 with the new scheme originally to launch in May last year, however, it was delayed by 14 months.

Spillemyndigheden warns operator over due diligence

Last week, Spillemyndigheden warned bet365 for failing to complete due diligence checks on a young customer who deposited around DKK190,000 (€25,537) in their account over a year. The regulator said bet365 had insufficient knowledge of the player’s source of funds to be able to rule out criminal activity.

The regulator noted that the player’s age and the amount deposited warranted due diligence checks to obtain information on their income, but it carried out no investigation and made no notes about the player. The regulator said that constituted a breach of Sections 10.1, 11.1 and 25 of the Danish Money Laundering Act.

Earlier in May, Spillemyndigheden warned operators to remember that they must respect laws addressing customers subject to financial sanctions. Meanwhile, the regulator has reported that between 2019 and 2021, it made more than 4,000 inspections of slot machines which led to 255 police reports. Spillemyndigheden monitors around 23,000 land-based slot machines in Denmark in order to detect illegal activity. These are located at 983 gaming halls and 1,277 restaurants across the country.

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